ASEAN, EU say free trade offers benefits to all
ASEAN, EU say free trade offers benefits to all
BANGKOK (Reuter): Increased trade between Europe and Southeast
Asia offers more jobs and increased prosperity to both sides,
senior officials from the regions said yesterday.
In a joint news conference after meeting economic ministers of
the Association of Southeast Nations (ASEAN), European Commission
Vice-President Leon Brittan said more European exports would help
cut European unemployment while greater investment in Asia would
raise living standards here.
"I believe that opening our doors to trade is not a favor to
others, but a favor to ourselves as it helps our own economy.
That is true for us all," Brittan said.
Thai Deputy Prime Minister Amnuay Virawan agreed: "It will be
mutually beneficial to us to promote inter-regional trade and
investment".
Some Asian officials also see closer ties with Europe as a way
of balancing the perceived domination of the Asia-Pacific region
by the United States.
"It's always desirable to have a counter-weight, to have a
balance in our relationships whether on a global basis or on a
regional basis," Amnuay said.
ASEAN groups Brunei, Indonesia, Malaysia, Philippines,
Singapore, Thailand and Vietnam.
Brittan, who is responsible for trade and commercial matters
at the European Union's (EU) executive arm, said yesterday's
meeting with ASEAN, the first of its kind, marked a significant
step towards free trade between the regions and in the world.
"In particular it has allowed us to prepare the ground for the
meeting of the heads of government of the EU and Asia which will
take place at the beginning of March (1996)," he said.
"It has set the stage for the further liberalization of trade
in Europe...and in Asia," he said.
Telecommunications
"We believe it is necessary to open trade on a world level. We
have cleared the air and we have cleared the decks for action."
Brittan said the meeting had discussed the possibility of new
protocols on international telecommunications leading to a world
agreement on the industry.
He said the continuing rise in intra-ASEAN trade, a topic
which dominated a day-long meeting of ASEAN economic ministers on
Sunday, was no threat to Europe.
"I don't think one could possibly complain about an increase
in trade in a region so long as that comes from the lowering of
barriers in the region rather than the raising of external
barriers," he said.
Brittan told Reuters earlier in an interview that ASEAN
expected Europe to reciprocate if it lowered tariff barriers.
"The Thai leaders I have spoken to are very open to the idea
and indeed are challenging us to say...that if they lower
barriers on a non-discriminatory basis there will in due course
be a response," he said.
ASEAN economies have grown by an average of seven to eight
percent over the last decade -- the fastest rate of growth of any
economic bloc in the world.
Brittan said trade would continue to grow exponentially
between Europe and ASEAN, offering huge opportunities to Europe.
"They tell me here in Thailand about the huge opportunities
there are in infrastructure, about the mass rapid transit plans
for Bangkok. There are huge opportunities."